The Five Levels of Employee Motivation

Employee motivation can be quite a challenge. The decision on how committed an employee will be towards the organization, division or team, depends entirely on the individual. Therefore, the first step to employee motivation is to engage with each individual. Find out what makes him/her tick. The purpose of this article is to know what to look for when you engage with the individual.

Many leaders make the mistake of applying a single motivational strategy to all their employees. The fact of the matter is that different things might motivate different employees. So how do you find the right formula for each employee?

The Loyalty Institute at Aon Consulting did extensive research on employee commitment. They came up with the five drivers of employee motivation, also known as the performance pyramid.

It works a lot like Marslow’s Hierarchy of Needs where the first level of motivational needs first need be satisfied, before a need arise in the next level. It wasn’t intended that way. It just happened to work out like that.

The performance pyramid can provide some wonderful guidance to know what to look for when you engage with your employees. Let’s have a look at the five levels and see how it can help you to find ways to motivate employees.

Level 1: Safety and Security

Along with a physical sense of well-being, there must be a psychological belief that the environment is free of fear, intimidation or harassment.

Level 2: Rewards

Yes, you knew it. Most people won’t come to work tomorrow if they win a big lottery today. This is the perception that the organization attempts to satisfy the employee’s compensation and benefits needs.

Level 3: Affiliation

This is a sense of belonging. It includes being “in the know” and being part of the team. This is also where a difference in personal and organizational values can have a big impact on motivation.

Level 4: Growth

Employees want to have the belief that achievement is taking place. I might feel safe, get all the money I want and feel part of the team. But if there are no growth opportunities, I might think about leaving the company.

Level 5: Work/Life Harmony

This term speaks for itself. Someone might have all the rewards that he/she wants, but he/she will burn out sooner or later if they don’t have the time to spend it on the other things they want.

What Should You Do With These Drivers Of Employee Motivation?

While all five levels are important, the key is to pinpoint where the individuals and the workforce are not having their needs met. Start by offering a safe, secure work environment and equitable compensation and benefits packages. This is the foundation. However, before you launch those new and trendy benefits, engage with each individual and take a good, hard look at the basics. The young smart upstart employee might not be as exited about that benefits program. His needs might be to use that money to buy a new sport scar. The opposite might be true for the 40 something baby boomer.

Some other pointers to keep in mind:

  • Be aware of the five levels of employee motivation when you engage with your employees.
  • Make your own assessment of what the needs of each individual are.
  • Engage with each individual. Explain the different levels and ask them where they find themselves on the pyramid. What are his/her biggest needs?
  • Engage with bigger teams and eventually with the whole organization about these levels of employee motivation.
  • Do something about it. If someone wants growth, give it to him or her. If they want work/life harmony, make a plan. And Ditto for the rest of the drivers.

How To Read A Credit Card Merchant Statement – 5 Ways To Categorize Fees

Reading your merchant statement and finding the rates and fees you’re being charged can be like playing “Where’s Waldo?”. One reason is because there are nearly as many different statement formats as there are merchant acquiring companies. Also, because of how competitive the industry has become, many monthly statements don’t completely disclose the rates being charged. And sometimes they are completely hidden.

I know of banks that don’t even send a statement out. If a merchant wants details of what they paid they have to logon to an online account to find it.

It’s War Out There!

One reason for this is the competitiveness. You have to remember that credit and debit cards make up part of a 2 trillion dollar industry. Money is like a magnet – it attracts Most merchants are being contacted continually by competing processors trying to get them to switch processors, by promising “lower rates”, etc.

So, to prevent a sales agent from another processing company from taking a merchant away – some processors make it as hard as possible for a competitor’s sales rep to walk in to a business, analyze a merchant statement, and do an ‘apples for apples’ comparison.

That being said, there are still some basic keys to look for when reading your statement. Here’s what I look for in analyzing a merchant statement, in order:

  • One: The pricing structure – how has the account been set up? Which pricing model does it employ? Is it using tiers (e.g. 3-tier; 4-tier, etc.) or – is it using “Interchange Plus”? (NOTE: most merchants are on a tier pricing model, which, in my opinion guarantees they’re being overcharged. Also, there are other pricing structures but tier pricing is by far the most common)
  • Two: The monthly fees (sometimes called “Other”) – next, I look to see what the monthly fees are. This can include: a statement fee; monthly service fee; account maintenance fee (normally, you’d only see one of these although I’ve seen two – or, you may see the equivalent fee but using a different term); PCI fee; batch fee; and gateway or access fees. Any miscellaneous, but not monthly fees can also show up here – e.g., an annual fee or semi-quarterly.
  • Three: Processing Fees – this is where the discount rates will be listed. If you are on tier pricing the best statements will print an itemized list showing the “qualified”, “mid-qualified”, and “non-qualified” (the 3 tiers) rate. If you are on Interchange Plus, you’ll see a list showing all the different cards you took, followed by the actual interchange rate for the card, the “dpi” (discount per item), plus the processors mark-up expressed as basis points and a transaction fee (or per item, depending on the term used to list it).
  • Four: Authorization Fees – here’s where you’ll find fees that go to VISA and MC. They’ll show up listed as access, authorization, and /or WATTS fees. You could also find here AVS fees (address verification); assessment fees; brand usage fee; risk fee; settlement fees, IAS fee (Issuer Access & Settlement).
  • Five: Third Party Fees – 3rd parties means networks other than VISA & MC that are included in your statement. This would include American Express, Discover, and the debit networks if you are using pin debit

Part of the problem in reading a merchant statement is different processors use different category names and different terms to identify charges. That’s why I began by saying it can be like playing “Where’s Waldo?” While there are common terms used for certain fees there is also a wide variation used, depending on the acquirer (the company you signed a merchant agreement with).

Again, part of this is due to an attempt to hide what’s being charged and make it difficult for a competitor to analyze a statement. While that’s ‘somewhat’ understandable – in my opinion it’s a disservice to the merchant. Integrity demands transparency. Maybe if processors were more merchant oriented they’d have a lower turnover and would not have to worry about competition so much. At least that’s my opinion.

Advertising As A Tool Of Communication

Advertising is a form of mass communication with the public. It is usually one sided i.e. from the company to the buyer/potential user of the product. It is a form of communication that typically attempts to persuade the potential customers to purchase or consume more of a particular brand of product/services. As rightly defined by Bovee, “Advertising is the non-personal communication of information usually paid for and usually persuasive in nature about products, services or ideas by identified sponsors through the various media.”

Advertising an important tool of communication is use to promote commercial goods and services, it can also be used to inform, educate and motivate the public about non-commercial issues such as AIDS, Don’t drink and drive, Polio, Save water, electricity, animals and trees etc. “Advertising justifies its existence when used in the public interest – it is much too powerful tool to use solely for commercial purposes.” – Attributed to Howard Gossage by David Ogilvy.

Advertising is most effective with products that can be differentiated from similar products based on consumer accepted quality difference. Tom Egelhoff has classified advertising in 6 types, i.e. for company image, name brands, advertising service instead of a product, business-to-business advertising, co-op advertising and public service advertising. Television, Radio, Cinema, Magazine, Journal, Newspaper, Video Game, Internet, Billboard, Transit Cards, Sandwich Board, Skywriting are the different mediums used to deliver the message. The companies choose the method according to the cost, budget, target audiences and their response. However, word of mouth advertising/ personal recommendations is an unpaid form of advertising which can provide good exposure at minimum cost.

Various new forms of advertising are growing rapidly. One of them is Social Networking Advertising. It’s an online advertising with a focus on social networking sites and use of the internet/ World Wide Web in order to deliver marketing messages and attract customers. The other is E-Mail advertising; E-Mail Marketing is often known as “opt-in-email advertising” to distinguish it from spam. “I believe ‘credibility’ is one of the biggest issues yet to be addressed by Internet advertisers. Everyone has their eye on ‘privacy’ as a critical concern, but credibility will be far more enabling or disabling to website profitability. A company can have a web presence and, unless the brand name is familiar, consumers have no way of knowing whether it’s a big company, a small company, an honest company, or a single scoundrel. I may be worried about my personal data being disclosed in violation of my privacy, but I’m far more concerned about whether or not the person or company with whom I’m dealing is reputable. Can I believe their claims? Will I have a recourse if something is wrong with the merchandise? Credibility no longer is strictly a brick-and-morter issue. I can’t judge someone by their place of business, when I conduct that business on the Internet. I can’t grasp a hand and look into their eyes to judge their veracity. Credibility is a huge issue.” – Jef Richard.

For a message to be effective keep it short, simple, crisp and easy to absorb. It is essential to translate the products/services offer into meaningful customer benefit by advertising and to build awareness and generate response. REMEMBER: – THE AIDA MODEL -ATTENTION, INTEREST, DESIRE AND ACTION.

In the modern scenario, most of the companies outsource their advertising activities to an advertising/ad agency which is a service business dedicated to creating, planning and handling advertising and sometimes also performs other forms of promotion like public relations, publicity and sales promotion for its client. Departments of the advertising agency includes: – The Creative Department (who creates an actual advertisement), Account Service (who is responsible for co-ordinating the creative team, the client, media and the production staff), Creative Service Production (here the employees are the people who have contacts with the suppliers of various creative media), Other department and Personnel. (like public relations). As said by David Ogilvy once that the relationship between a manufacturer and his advertising agency is almost as intimate as the relationship between a patient and his doctor. Make sure that you can life happily with your prospective client before you accept his account.

Thus, I would conclude by the famous words of Bruce Barton (1955), “Advertising is of the very essence of democracy. An election goes on every minute of the business day across the counters of hundreds of thousands of stores and shops where the customers state their preferences and determine which manufacturer and which product shall be the leader today, and which shall lead tomorrow.”

What Font Should You Use For Your Book?

One of the most common questions asked by would-be self-publishers who are intent on designing and typesetting their book themselves is, “What font should I use?”

I’m always relieved when somebody asks the question. At least, it means they’re not just blindly going to use the ubiquitous default fonts found in most word processing programs.

However, there is almost no way to answer the question. It’s like asking, “What’s the best car model for commuting to work everyday?”

You’ll get a different answer from almost everyone you ask. And they might all be correct.

I am willing to offer one hard-and-fast rule, however: don’t use Times New Roman or Times Roman. That will brand your book as the work of an amateur at first glance. And there are other, very practical, reasons for not using it. Times Roman and Times New Roman were designed for the narrow columns of newspapers, originally for the London Times back in the 1930s. Today, almost no newspapers still use it. How, or why, it became a word processing standard, I have no idea. The font tends to set very tight, making the text block on the page dense and dark.

Here are two caveats before proceeding to few recommendations:

  1. The typeface you choose may depend on how your book will be printed. If you look closely at most serif fonts (like Times), you will notice that there are thick and thin portions of each letter. If your book will be printed digitally, you should steer away from fonts with segments that are very thin. They tend to become too faint and affect readability.
  2. Don’t get carried away with the thousands of font choices available. Most are specialty fonts suitable for titles, headlines, advertising, emotional impact, etc. And never use more than a very few fonts in a single book — we usually choose one serif font for the main text body, a sans serif for chapter titles and headings within the chapters. Depending on the book, we may select a third font for captions on photos, graphics, tables, etc. (or maybe just a different size, weight, or style of one of the other two). We may select a specialty font for use on the front cover for the title and subtitle.

For 90% of books, any of the following fonts are excellent choices:

  • Palatino Linotype
  • Book Antiqua (tends to set tight, so you may have to loosen it up a bit)
  • Georgia
  • Goudy Old Style
  • Adobe Garamond Pro (tends to have a short x-height, so it might seem too small in typical sizes)
  • Bookman (the name sort of gives it away, doesn’t it?)
  • Century Schoolbook (tends to be a bit wide, creating extra pages)

You need to look at several paragraphs of each font to see what, if any, adjustments you may find necessary in things like character spacing and kerning. You want to avoid little confusions, like:

  • “vv” (double v) that looks like the letter “w”
  • “cl” (c l) that looks like the letter “d”

Such things can make the reading experience annoying.

If you ask other designers, you will likely get other suggestions, but I wouldn’t be surprised to see at least some of the above included in their recommendations.

You may run across some books with more unusual font choices, but there are often good reasons for it. Maybe the book is a humor book for which the designer chose a lighthearted font, for example. Such decisions should be made with care and thoughtful consideration for the effects on readability.

Never decide on your font or font size based only on viewing how it looks on your monitor. Most trade paperback books are printed in 10 or 11 point size, but some fonts require larger – or even smaller – sizes. If 12 points looks too big and 11 too small, you can try 11.5 – no need to stick with integer sizes. You might be surprised how much difference a half-point (or even a quarter-point) can make on the overall “feel” of the page.

You also have to decide on appropriate leading (pronounced like the metal), which is the distance from the baseline of one line of text to the baseline for the next line, measured in points. The result is usually expressed as a ratio of the font size in points to the selected leading in points. So, you might say you have set the body text in Georgia 11/14 or Bookman 10/12.5 (11-point size with 14 points leading and 10-point size with 12.5 points leading, respectively).

Word processing programs tend to work in decimal inches, forcing you to convert leading from points into inches. A standard point is equal to 0.0138 inches. Professional typesetting/layout programs (like Adobe InDesign) allow you to use points and picas to define all type measurements and settings. although you can also specify those settings in various other units (including inches).

Typically, book designers will develop more than one design for each book’s interior, using different fonts, sizes, and leadings. They should typeset a few pages of the actual manuscript and print them out with the same page settings they plan to use in the final book (e.g., 6″ x 9″ pages). This allows the client to compare them side-by-side and evaluate them for readability and overall look.

And don’t forget your target audience. Very young readers and very old readers do better with larger type. Books that are very textually dense with long paragraphs frequently need more leading and a wider font.

Ultimately, you have to choose based on what your gut reaction is to the typeset samples. It never hurts to ask other people to read it and tell you if one option is easier to read than another.

If you want to gain an appreciation for typography and how to make appropriate design decisions, I recommend the following excellent books:

The Complete Manual of Typography by James Felici

The Elements of Typographic Style by Robert Bringhurst

Book Design and Production by Pete Masterson

For those who insist on using Microsoft Word to typeset books, you really should buy and study Perfect Pages by Aaron Shepard. He is the reigning guru of how to do it.

It is far better to buy professional layout software and then learn all you can about typography and how to apply those principles to book design…or to hire a professional to do for you. The latter course will leave you more time to develop a dynamic marketing plan for your latest book and start writing your next one!